Carvana (US:CVNA) ZACKS·2025-01-15 00:01Core Viewpoint - Carvana's stock performance has been under scrutiny, with a significant drop in the past month, while upcoming earnings are anticipated to show substantial growth in EPS and revenue. Group 1: Stock Performance - Carvana closed at $195.19, reflecting a +0.35% change from the previous day, outperforming the S&P 500's gain of 0.12% [1] - The stock has decreased by 23.95% over the past month, which is worse than the Retail-Wholesale sector's loss of 4.43% and the S&P 500's loss of 3.45% [1] Group 2: Earnings Expectations - Analysts predict Carvana will report an EPS of $0.25, indicating a 125% growth compared to the same quarter last year [2] - Revenue is expected to reach $3.33 billion, representing a 37.21% increase from the prior-year quarter [2] Group 3: Analyst Projections - Recent shifts in analyst projections for Carvana should be monitored, as they reflect short-term business trends and can indicate analysts' favorable outlook on the company's health and profitability [3] Group 4: Zacks Rank and Valuation - The Zacks Rank system, which assesses estimate changes, currently ranks Carvana as 3 (Hold), with a steady EPS estimate over the past month [5] - Carvana's Forward P/E ratio stands at 73.02, significantly higher than the industry average of 20.64, suggesting it is trading at a premium [6] Group 5: Industry Context - The Internet - Commerce industry, part of the Retail-Wholesale sector, has a Zacks Industry Rank of 141, placing it in the bottom 44% of over 250 industries [6] - The Zacks Industry Rank indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]